Hiring New Employees in Nebraska: A Legal Guide

Develop a clear job description that outlines the position's responsibilities, required qualifications, and essential functions. Ensure the description complies with Nebraska employment laws and doesn't contain discriminatory language. This will serve as the foundation for your hiring process.

Advertise the position through appropriate channels and collect Employment Application Forms from candidates. Nebraska is an employment-at-will state, but your application should include an equal employment opportunity statement and avoid questions about protected characteristics.

Create an application form that collects necessary information while complying with Nebraska employment laws. Avoid questions about age, race, religion, national origin, disability, or other protected characteristics. Include an at-will employment disclaimer and authorization to verify information provided.

Review applications and conduct interviews based on job-related criteria. Ensure interview questions focus on qualifications and avoid inquiries about protected characteristics. Document the selection process to demonstrate non-discriminatory hiring practices.

Before conducting any background checks, obtain written authorization from the candidate. Nebraska follows the Fair Credit Reporting Act (FCRA) requirements for employment background checks. Ensure your form clearly discloses that a background check will be conducted for employment purposes and obtain the candidate's signature.

After receiving authorization, conduct appropriate background checks in compliance with Nebraska and federal laws. If you decide not to hire based on background check results, follow FCRA adverse action procedures, including providing pre-adverse action and adverse action notices.

Draft an offer letter that includes position title, start date, compensation, benefits, and employment status (full-time/part-time). Clearly state that employment is at-will (unless offering a contract position). Include any contingencies such as background checks or drug testing.

If offering a contract position rather than at-will employment, draft a detailed employment contract. Include term of employment, compensation, benefits, termination conditions, and any restrictive covenants. Have legal counsel review the contract to ensure compliance with Nebraska law.

If the employee will have access to confidential information, prepare an NDA that protects your business interests while being reasonable in scope. Nebraska courts generally enforce NDAs if they protect legitimate business interests and are not overly restrictive.

If using a non-compete, ensure it's reasonable in geographic scope, duration, and protected interests. Nebraska courts scrutinize non-competes and will only enforce those that are reasonable and necessary to protect legitimate business interests. Consider whether a non-solicitation provision might be sufficient instead.

Present the offer letter and any accompanying agreements to the selected candidate. Allow reasonable time for review and questions. Obtain signed acceptance before proceeding with onboarding.

Federal law requires completion of Form I-9 within 3 business days of the employee's first day. The employee must complete Section 1 on or before their first day, and you must complete Section 2 within 3 business days after the employee begins work. Verify acceptable documents in person and maintain the form for the required retention period.

Have the employee complete a federal W-4 form to determine federal income tax withholding. Keep this form in the employee's payroll records. A new W-4 should be completed if the employee's tax situation changes.

Have the employee complete Nebraska Form W-4N for state income tax withholding. Nebraska has its own withholding form that may differ from the federal W-4. Maintain this form in the employee's payroll records.

Nebraska law requires employers to report all newly hired employees to the Nebraska State Directory of New Hires within 20 days of hire. Report can be submitted online through the Nebraska Department of Labor website or by mailing/faxing the form. Include the employee's name, address, SSN, and your company's name, address, and federal EIN.

If offering direct deposit, obtain written authorization from the employee. Include bank account and routing information, and specify whether the entire check or a portion will be deposited. Nebraska law permits mandatory direct deposit only if the employee can choose the financial institution.

Have the employee provide emergency contact information. While not legally required, this is a best practice for workplace safety. Include multiple contacts if possible and update periodically.

Give the employee your company handbook and obtain signed acknowledgment of receipt. Ensure your handbook includes required policies on equal employment opportunity, anti-harassment, reasonable accommodation, leave policies, and any Nebraska-specific requirements. Review and update your handbook regularly to remain compliant with changing laws.

If offering benefits, provide enrollment forms and information about eligibility, coverage options, costs, and enrollment deadlines. Nebraska doesn't mandate specific benefits beyond those required federally, but if you offer benefits, you must administer them in compliance with applicable laws like ERISA, ACA, and HIPAA.

Ensure all required federal and Nebraska-specific workplace posters are displayed in a conspicuous location. These include minimum wage, equal employment opportunity, workers' compensation, unemployment insurance, and safety notices. Nebraska-specific posters can be obtained from the Nebraska Department of Labor.

Nebraska law requires employers with one or more employees to carry workers' compensation insurance. Obtain coverage through a private insurance carrier authorized to write workers' compensation in Nebraska. Exemptions exist for certain agricultural operations, household domestic servants, and some family businesses.

Register with the Nebraska Department of Labor for unemployment insurance if you haven't already. Most employers are required to pay unemployment insurance tax in Nebraska if they pay $1,500 or more in wages in a calendar quarter or have at least one employee in each of 20 different weeks in a calendar year.

Set up a payroll system that complies with Nebraska wage payment laws. Nebraska requires regular pay periods and payment within 10 days of the end of each pay period. Ensure your system correctly calculates overtime, minimum wage, and required deductions.

Provide orientation to familiarize the new employee with company policies, procedures, and culture. Review key handbook policies, safety procedures, and job expectations. Document the orientation to demonstrate compliance with training requirements.